CSSC (Hong Kong) Shipping Secures USD 600 Mn Loan

CSSC (Hong Kong) Shipping Company Limited has received a financing letter from an undisclosed bank in relation to a USD 600 million loan, the company said on August 20.

In a stock exchange filing, the company explained that the loan includes an amount of up to USD 400 million, set to be repaid in full in three years from the date of the financing letter, as well as a USD 200 million revolving loan scheduled to be repaid or reborrowed at the end of each interest period.

In late May, the company launched an initial public offering (IPO) on the Hong Kong Stock Exchange with an aim to raise up to HKD 2.18 billion (USD 277.9 million).

At the time, the shipowning arm of state-owned China State Shipbuilding Corporation Limited (CSSC) said it would issue 1.534 billion new shares, priced at HKD 1.34 – HKD 1.42 per share. The proceeds from the offering were to finance the acquisition of up to 37 vessels, sale and leaseback projects, as well as for general corporate purposes.